Recent months have seen warehouse construction starts fall sharply. But that's not a reason to worry – only a sign that the market is rebalancing in a healthy way.
"The pause in development expected in 2024 is likely just what the doctor ordered," according to Craig Hurvitz, director of Colliers' national industrial research team, commenting in a blog post.
Mid-2023 saw total space under construction peak at 638 million SF, then fall 17% to 546 million SF in the third quarter, Colliers' data shows. The fourth quarter should see completions peak at 180 million SF – then dive 71% to 53 million SF by 4Q 2024.
Want to continue reading?
Become a Free ALM Digital Reader.
Once you are an ALM Digital Member, you’ll receive:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
*May exclude premium content© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
